Opinion Columns & Blogs

A tale of two states and their tax policies

While acknowledging that correlation does not equal causation, a Washington Post article noted how the “divergent experiences of California and Kansas run counter to a popular view, particularly among conservative economists, that tax cuts tend to supercharge growth and tax increases chill it.” In 2012, voters in California approved a measure to raise taxes on millionaires, while the Kansas Legislature reduced state tax rates and eliminated income taxes on many businesses. The result: California’s economy grew 4.1 percent last year and 3.1 percent the year before (among the highest in the nation), while Kansas’ economy grew 0.2 percent last year and 1.2 percent in 2014. – Phillip Brownlee

  Comments